Switzerland's Inflation Overview

In January, Switzerland experienced a decrease in its annual inflation rate to 0.4%, as reported by the Federal Statistical Office. This figure represents a decline from December's 0.6% and aligns with what analysts had anticipated.

Consumer Price Index (CPI) Insights

The CPI witnessed a 0.1% monthly decrease, settling at 106.8 points. Factors contributing to this downturn include reduced prices in electricity, supplementary accommodation, air transport, and clothing and footwear sectors. Conversely, there was an uptick in the costs associated with hotels, private transportation rentals, and car insurance premiums during the same period.

Core Inflation and HICP Analysis

Core inflation, which excludes volatile items such as fresh and seasonal products, energy, and fuel, saw a 0.1% monthly drop but experienced a 0.9% annual increase. The Harmonized Index of Consumer Prices (HICP), utilized for European comparisons, decreased by 0.1% from the previous month, with a 0.2% annual rise.